VIEWS: 1 PAGES: 2 POSTED ON: 9/13/2012
( Before the goods Arrive ) . 1.1 - Introduction The temporary admission and duty drawback(TADD) incentive schemes introduced to promote export industries and reduce the financial burden on manufacturers and exporters. Temporary Admission Under the temporary admission scheme, goods, raw materials, equipment and vehicles are imported into the country on the condition that they are eventually either re-exported or used to manufacture a product which will be exported. Goods imported under temporary admission are exempted from Customs duties, taxes and other fees for a specified period against a bank guarantee. This guarantee is released upon the goods ‘ clearance through Customs for export or re-export. The following goods can be imported under the temporary admission program: Industrial raw materials Packagings Exhibitions Products entered into the country for repairs Commercial samples Machinery, equipment, tools for government projects All vehicles of non-Jordanian residents working in state universities, regional offices and diplomatic missions. All vehicles of non-Jordanian consultants employed in a government project. Duty Drawback In contrast, importers entering goods into the country under the duty drawback scheme are required to pay the Customs duties, taxes and fees with the option to apply for a refund once the goods are used in manufacturing and upon export of the final product. The duty drawback program benefits manufacturers in the industrial sectors and exporters. 1.2 Applying for TADD In order to import goods under the TADD program, a request must first be submitted in writing to the TADD Section at the Customs Department, indicating interest in temporary admission, duty drawback or both programs. The letter should specify the goods to be imported and the quantities. A detailed description of the factory must be submitted using the appropriate Customs form, specifying the number of workers and industrial machines, production lines, materials to be imported, product to be manufactured and so forth. The Customs Department’s decision to approve the request will be based on the letter, documentations, and where applicable, factory inspections. An official letter of permit will be issued to the importer which is valid for one year, and renewable upon request for an additional year . Importers will have to present the permit to authorities at the Customs Center when clearing the goods. With this letter of permit, the importer is now ready to participate in the TADD program. A general bank guarantee must also be submitted to the Director of the Customs Center, covering the total amount of imports expected during the period specified in the guarantee. 1.3 Calculating the Manufacturing Coefficient The applicant must provide a comprehensive and detailed study of the factory’s manufacturing coefficient as it pertains to a particular product, principal raw materials, percentage of waste and other technical information. The manufacturing coefficient indicates how mush of imported raw material will be used in the production of the final product. The manufacturing coefficient is reviewed by a committee of specialists from the Customs Department. If they are dissatisfied with the results, Customs authorities will conduct an on-site inspection of the factory and its facilities and make their own assessment of the manufacturing coefficient. The procedures for clearing goods entered under the TADD programs are in general, similar to that of regular imports. For a detailed description of each step, please refer to Sections 3.5 to 3.12 in Chapter One on imports. Upon arrival at the port of entry, the goods must be transported to a Customs Center. All goods must be declared, regardless of whether they are liable to duties, taxes and fees, or not.
Pages to are hidden for
"( Before the goods Arrive )"Please download to view full document